In theory, it’s irrational to give into threats in iterated games, or in one-shot games where your opponent can look at your code. (“We don’t negotiate with ter

In theory, it’s irrational to give into threats in iterated games, or in one-shot games where your opponent can look at your code. (“We don’t negotiate with terrorists.”) So threatening sanctions shouldn’t work. But in practice, when everyone knows you have a bazooka, you might not ever have to fire it.